What would you suggest we invest all or part of our savings into to gain a more interesting return?

Q.

I am 65 years of age and recently retired. My wife is 63 and still working part time. We own our home currently valued at $700,000 and have between us $350,000 in superannuation which remains untouched at present. After the sale of a property and combined with savings we have $650,000 in a cash management account - however the returns are not so attractive at present. What would you suggest we invest all or part of the $650,000 into to gain a more interesting return?

My preference would be to invest the money in super in your wife's name as this would enable you to start an allocated pension when she stops work. The fund would pay tax at 15% while in the accumulation phase but once you start the allocated pension the fund will be a tax free fund with all withdrawals tax free. How much better can it get! Just bear in mind there are limits on contributions but you could put $150,000 in this financial year and $450,000 in the next financial year. Once the money is in super you could take advice on an asset allocation that suits your needs and risk profile.